THE Government has delivered the first payments to victims of the July 7 bombings in an attempt to quell widespread criticism.

Howard Webber, chief executive of the Criminal Injuries Compensation Authority (CICA), said that two cheques were sent on Monday and would be followed shortly by twenty more.

The announcement comes after demands for emergency payouts by victims and their families. It has been almost three months since four bombs killed 52 Tube and bus passengers and injured 700.

Tony Blair said last week that he would intervene after some injured victims claimed that they were in danger of losing their homes because they had not received any government help. Yesterday Mr Webber said that the CICA, a government-funded agency, had worked “quite well” to send the cheques out. He said that the delay in payments was because the CICA has been waiting for police and medical reports before issuing cheques.

It is understood that senior executives at the CICA want the Government to set up an emergency fund to help the victims of any future terrorist atrocities. Criticisms of the compensation scheme arose after a Red Cross charity, the London Bombings Relief Charitable Fund, managed to make payments after two weeks.

Under the strict guidelines of the CICA scheme, set by Parliament, each claim has to be backed by a certified police and medical report before a cheque is issued. Even then, families of the 52 dead are eligible for only £11,000 each. If more than one family member of a July 7 victim applies for compensation, the £11,000 will be divided between them. About $2 million (£1.13 million) was paid by the US Government to families of the September 11 victims. The CICA has so far made compensation offers to 22 victims totalling £400,000. The scheme has received 209 applications for compensation. A further 2,500 are expected over the next 18 months. The average payout will be about £6,000 each.

Martine Wright, who lost both her legs in the Aldgate bombing, said that she was frantic about how she would pay bills that had accumulated while she was in hospital.

“Victims shouldn't have to fight for compensation. I’ve enough to worry about learning how to walk again. This is an extra burden,” she said.

Most victims are relying on the generosity of family, friends and sympathetic employers. The father of a 7/7 bombing victim became the first relative to accept a compensation payout yesterday.

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